Our view: Shop locally and save

Beginning today, and continuing Saturday, shoppers are expected to flock to stores, drawn by back-to-school sales and something else - relief from the state sales tax of four pennies to the dollar.

After Easter and Christmas, back-to-school time is the busiest season for retailers. Parents buy new clothes and school supplies for their children. State officials instituted this weekend, the first Friday and Saturday of August, as a way to ease the burden.

The sales tax holiday provides an exemption from state sales tax on the first $2,500 of the purchase price on most individual items of tangible personal property for nonbusiness use. The purchase of vehicles and meals at restaurants are not included.

The exemption, in the past, has worked as intended. Dawn Starns, executive director of Louisiana's office of the National Federation of Independent Businesses, says the tax holiday is good for business and good for families purchasing back to school clothing and supplies.

Louisiana had its first almost all-purchase tax holiday in 2007 and added a hurricane preparedness holiday in 2008 on items up to $1,500, and a Second Amendment holiday in 2009 for guns, ammunition and hunting supplies. It's one of 16 states that have such tax holidays for various types of purchases.

Louisiana's sales tax holiday is the most generous among those offered. Several states set limits, like Arkansas's $100 on clothing and school supplies, Mississippi's $100 on clothing and footwear and Florida's school supplies, including $100 for clothing, $15 for supplies and $750 for computers. Some states limit the holiday to purchasing energy-saving appliances.

It's not clear is whether the tax-free weekend increases the retailers' overall sales. Some argue families purchase only what they would have anyway, waiting for the weekend to bundle their purchases at one time to cut costs.

The Tax Foundation criticizes such events as "political gimmicks." Its studies have found that instead of helping low-income residents save money, as originally argued, residents with higher incomes take advantage of the offer.

"While sales taxes are somewhat regressive, this is often exaggerated to sell the idea that sales tax holidays are an effective way of providing relief to the poor," The Tax Foundation report said. "To give a small amount of tax savings to low-income individuals, holidays give a large amount to others."

What's the harm? The state, admittedly, stands to lose money. State officials enter the weekend knowing that and plan accordingly. But even the for the state, the cost of the back-to-school tax holiday has declined over the years.

The state registered revenue loss of $3.55 million in 2011, $3.29 million in 2012 and $2.43 million in 2013. The predicted loss this year is $2.48 million. In 2015, it is predicted to be $2.53 million - two-thirds of what it was in 2011.

We believe the weekend has benefits.

Exempting state sales tax should generate excitement for retailers and shape an event that gets people into the stores. Once shoppers walk into the store to make their planned purchases, they are likely to make additional purchases. The tax holiday in no way hurts merchants, and many could benefit.

It's a good time for shoppers, too, to patronize local merchants, supporting the local economy and assuring variety in the marketplace, not to mention save money purchasing supplies they have to buy anyway.

Businesses and economists will be watching back-to-school sales closely as a harbinger of what Christmas might hold. A brisk Christmas could signal continuing growth in the economy, which should lead to more jobs and higher wages.

In the meantime, there are notebooks, pens, calculators, laptops and jeans to buy. Shop this weekend, and save.